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US-China compete for Egypt data centers
China and the United States are competing to establish data centers in Egypt with the aim of developing a national artificial intelligence (AI) model. Egypt seeks to maintain digital sovereignty by implementing regulations to protect data and collaborating with foreign partners. The Egyptian strategy focuses on building local AI capabilities, such as the AI assistant "Karnak," which considers Egyptian culture and supports government services and education. Choosing a technology partner is a key factor, with options ranging from advanced American technology, which is more costly, to Chinese technology that is less expensive and quicker to implement. Egypt plans to boost investments in data centers, with experts emphasizing the importance of setting clear objectives—whether for storage, processing, or training AI models—to ensure that IT strategy benefits from collaboration with global companies while safeguarding national sovereignty.
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